American lobbyist for Google and Apple says that the legislation breaches trade agreements.
According to The Wall Street Journal, a bill passed in South Korea will bar major tech platforms like Google and Apple from limiting app developers to their built-in payment systems. The bill, expected to become a law, can defeat the purpose of Google and Apple's in-app required transaction system.
Failure to comply with the regulation might result in a fine of up to 3% of the company's annual revenue in South Korea. The legislation could impact how Google's Play Store and Apple's App Store conduct business worldwide, as countries like Australia are also looking to impose similar legislation.
Google and Apple expressed disappointment over the bill and said that it could impact the developers' income. Both companies have taken measures by decreasing their cut from the developers' revenue.
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